By Greg Kozera, Shale Crescent USA
It is fun getting to know people from all over the world. People are more alike than different. This week the Shale Crescent team met with a company from Finland who we met at SelectUSA and is interested in expanding to the USA. Their concerns are similar to most Americans. They are concerned about the health and welfare of themselves and their families. They are concerned about their quality of life. They are concerned about their business and its success. National security is a concern with Russia as a neighbor and a long common border.
In Finland, soccer, cross country skiing and hockey are big sports but surprising to us so are American football and basketball. They even have fantasy leagues for them. Most Fins, in addition to their native language, can speak Swedish and English. They follow American politics.
Our guests liked the 70-degree temperatures. Currently in southern Finland temperatures are in the 50s and get colder going north to the Arctic circle. Finland is the most forested country in Europe with forests covering over 80% of the country and thousands of lakes. (187,888). Finland is known for its saunas, reindeers and Santa’s Village. The Fins were surprised and impressed with all the trees in our region and the fall colors.
When we checked into our hotel I asked the lady the front desk, “Has the group from Finland checked in yet? She responded, “Oh yes. They are delightful.” That describes them very well. They are friendly, fun and easy to talk to. Their attitudes are very positive. Most people would have complained about the airline delays. They had to drive through the night to make their first appointment on time, taking it in stride, laughing and keeping their positive attitude. Since their visit, I learned Finland is consistently the Happiest Country in the World. They enjoy simple pleasures like clean air, pure water and walking in the woods. Summers are cool with long days. Winters are cold with long nights that would depress most people. The Fins find ways to cope.
We discussed energy. The Fins don’t try to fit a square peg in a round hole. They take advantage of what they have been blessed with like hydropower, wind and biofuels. Solar doesn’t make sense because of long dark winters and lots of snow. Electricity use is low in the summer. Air conditioning isn’t needed and days are long reducing need for lighting. Nuclear power is their largest source of energy. Most of the oil and LNG they use comes from Norway. In 2023 Finland started its first geothermal heating plant. Energy will be important for their U.S. facility.
Earlier this week I attended a West Virginia Manufacturers meeting in Charleston. We heard what we have been hearing; AI, data centers, increased electrification and manufacturing are increasing electricity demand. Estimated U.S. power demand by 2030 is an additional 100 GW (giga watts). One giga watt is 1,000 MW (megawatts). We heard Texas needs an additional 40,000 MW. West Virginia’s estimated need is 10,000 MW if no other plants are shutdown. For comparison the new natural gas power plant near Cambridge, Ohio produces 1,875 MW.
On September 20th National Public Radio reported; Three Mile Island, the power plant near Middletown, PA, that was the scene of the worst commercial nuclear accident in U.S. history, will reopen to power Microsoft’s data centers, which are responsible for powering the tech giant’s cloud computing and artificial intelligence (AI) programs. Constellation Energy, announced it had signed its largest ever power purchase agreement with Microsoft. The agreement will span 20 years. The plant is expected to reopen in 2028.
Reuters reported; Big tech has led to a sudden surge in U.S. electricity demand for data centers needed to expand technologies like artificial intelligence and cloud computing. Nuclear energy, which is nearly carbon-free and broadly considered more reliable than energy sources like solar and wind, has become a popular option for technology companies with uninterrupted power needs and climate pledges.
This gives you an idea of the power demand AI and data centers require in a way you can visualize. Microsoft is only one company and needs a power plant of their own to meet their increased electricity demand. Microsoft is solving their electric power needs without impacting the rest of us who need 24/7/365 electricity. Microsoft needs dependable power and are reopening a power plant without driving up regional power demand and cost for everyone.
Other data centers may need to look at similar options but with different sources of power like natural gas. It is easier to reopen an existing nuclear power plant than to permit a new one. Small nuclear reactors may eventually meet these needs but no one can predict when. Certainly not by 2030. Most new power planned for the PJM grid is intermittent renewable power. Multiple sources say additional power for the PJM grid can’t be available until 2031 at best, due to regulatory review.
At the West Virginia Chamber’s Business Summit in August, we heard about additional renewable power coming to the grid. I met with one of the panelists at the evening reception and learned none of this is baseload (24/7/365).
The common joke we hear is, regulators and political leadership in Washington can’t add and subtract. Shutting down baseload power and replacing it with intermittent power is a disaster waiting to happen and can’t help to meet increasing demand. When the power goes off people die as they have in Texas. Then it’s too late for finger pointing and blaming. Dependable economical energy should be a non-partisan issue. Our regulators and elected leaders must put people first. I love the common sense and positive attitude of the Fins. We have the resources to solve our energy and environmental challenges. We may need to use the ballot box to replace those politicians who can’t do basic math or worse don’t care about the people in this region. Thoughts to ponder.
© 2024 Shale Crescent USA
Greg Kozera, [email protected] is the Director of Marketing for Shale Crescent USA. He is a professional engineer with a Masters in Environmental Engineering and over 40 years of experience in the energy industry. Greg is a leadership expert, high school soccer coach, professional speaker, author of four books and many published articles.
